Right now, the non-profit Local Government Center acts as a parent company to the health and property-liability insurance risk pools. But the pools are actually set-up as for-profit LLCs. Interim Executive Director George Bald says the plan is to scrap the Local Government Center name, and instead have three separate non-profits. The New Hampshire Municipal Association, HealthTrust, and Property-Liability Trust.

“And having three separate organizations I think will add greater transparency. We'll see exactly where every single dollar is spent for those three organizations," Bald says.

The Bureau of Securities Regulation has publicly voiced concerns about how the LGC’s insurance contracts and joint real estate holdings would be handled if the reorganization goes ahead. While the LGC would like to start with the new set-up early next month, Bald says he’s willing to wait if regulators want more time to review the proposal.

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After Maura Carroll's sudden departure from the Local Government Center last month, former Department of Resources and Economic Development Commissioner George Bald took over. By shifting the LGC toward greater transparency, refocusing on customer service, and repairing the bitter relationship with its regulator, Bald hopes to overhaul the culture of the embattled organization. And put its years-long legal troubles to rest.

A group of New Hampshire towns have banded together to demand the Local Government Center return a chunk of their insurance premiums. Last summer, a hearing officer ruled that for years, the LGC had overcharged communities for its health insurance program. And the LGC was ordered to return more than $52 million to members.

A dozen New Hampshire towns have filed a complaint arguing they are being deprived of their share of $52 million being refunded by the group that manages health insurance pools for public workers and retirees.

The Local Government center will return twenty-two-and-a-half million dollars to its members. The board will return the money as a contribution holiday payment, which lowers the amount members pay over the coverage year.